For many entrepreneurs, moving on from their business — especially if it's a business they founded — is one of the most difficult decisions to make. For owners of provider agencies that support individuals affected by an intellectual and/or developmental disability (I/DD), the decision can prove even more difficult when the owner has a personal attachment to and passion for the space. However, while many owners find it difficult to start the process of selling their business, the reality is that it's a necessary and important step. As the old adage says, "Failing to plan is planning to fail."

Physician practice owners are often surprised to learn how private equity (PE)-backed companies structure their acquisitions and the relatively small amount of cash paid at closing. It's significantly less than owners (sellers) expected.
Below is a simple breakdown of how the proceeds from a typical PE acquisition works. The selling price is generally paid in three parts. Understanding the timing of these payouts may influence when owners choose to sell their practices.

Over the past few months, as 2018 wound down and 2019 kicked into high gear, we've seen a steady flow of reports analyzing U.S. healthcare merger and acquisition (M+A) activity from last year and outlining predictions for this year. Let's examine what these reports identified as some of the key developments of the year that was and forecasts for the year that is and then discuss what it all means for your business.